Tag Archives: James Clark King

Do you understand the money system? If you do not, this article and the sources cited will provide a quick tutorial on what money should be, but is not. Why is money something besides what it should be? Because of fiat money. Know what that is? Take a look at this film and you’ll be unpleasantly surprised. Money as Debt-A full length Documentary will provide information on the Federal Reserve System. The film may be viewed on Youtube. Paul Grignon is credited with the film and he also wrote a book using the same title. Here is the link to a website containing information on the money system.

Essentially, fiat money is a representation of a monetary system’s currency without full backing of hard assets, commonly known a the gold standard. A gold standard is foreign to the United States money system as well as other countries which have a central bank controlling their money and setting monetary policy.

Remember, inflation is a made up, academic-type of term designed and invented to hoodwink followers of news into believing devaluation of money is a normal phenomenon, instead of a dilution process of purchasing power over time due to excessive printing of money-the printing of paper currency or credit offered by digital money. Either way, more U.S. Dollars, Yen or Eurodollars equal more money in the system than prior to the new printing. Hence, less value and the erosion of purchasing power. You may want to review an article by Baily who provided a simple, fictional illustration of a responsible money system.

G. Edward Griffing wrote another book explaining the Fed. By the way, each of these works contain footnotes throughout in case readers question any information. One can see a film or read the book, The Creature from Jekyll Island. This film is from youtube and G. Edward Griffin is credited with the film. He is also the author of the book, The Creature from Jekyll Island.

Here is the link to G. Edward Griffin’s film, The Creature from Jekyll Island and it is on you tube:

Imagine a patron walking into a barber shop in 1816. He forgot his money and can’t pay for his haircut. He lives twelve miles from the barber and doesn’t want to return to pay the bill. However, he is on the way to the butcher shop to sell his chickens and eggs. He offers to pay the barber in the form of one chicken and a dozen eggs. The barber is willing to accept this form or barter because it has value similar to the value of the haircut.

Today, if the value of a chicken and a dozen eggs is calculated, this value will be approximate to the value of a haircut. Keep in mind, certain barbers charge higher or lower rates and all chickens and eggs are not of equal value. However, you can find chickens and eggs-one chicken and a dozen eggs that have similar value to certain barbers’ haircuts. This is the point: “hard assets” have a constant, consistent value.

This example illustrates the value of “hard assets” behind a monetary system. Certain goods and services can be exchanged for other goods and services and the value of this exchange will remain constant throughout time.

Does a haircut cost the same today as sixty years ago? Why not? A chicken and a dozen eggs would buy a haircut at that time and the value of these foodstuffs will buy one today.

You can now ponder the “value” of a fiat money system and why people who stop working have their savings eroded by the devaluation of their money. Truly, the Federal Reserve System is an irresponsible monetary system designed to rape citizens over time through the loss of purchasing power while enriching the central bankers through the printing of money out of thin air. See the article at the link at: